19 Houses Rehabilitated for First-Time Homebuyers

On October 17, NYCHA announced the completion of the final home in a portfolio of 19 houses, rehabilitated in partnership with the NYC Department of Housing Preservation and Development (HPD) and the non-profit Restored Homes Housing Development Fund Corporation (HDFC) – an affiliate of Neighborhood Restore HDFC – with additional funding provided by the New York State Affordable Housing Corporation (AHC) and JPMorgan Chase. The houses represent the third tranche rehabilitated by Restored Homes HDFC through the Small Homes Rehab-NYCHA Program, which has renovated 61 homes for first-time homeowners to date and afforded 13 NYCHA families the ability to purchase their first homes. The majority of the homes, available for first-time homebuyers in Brooklyn, the Bronx, and Queens, were repossessed by the Federal Housing Administration (FHA) and transferred to NYCHA in the late 1970s and early 1980s, and later sold to Restored Homes HDFC. The properties were rehabilitated to provide affordable homeownership opportunities to low- and moderate-income families with three of the 19 properties set aside exclusively for NYCHA residents buying their first homes.

“From the start of this administration, we have sought to make the dream of homeownership real for working people,” said First Deputy Mayor Maria Torres-Springer. “Thanks to NYCHA, HPD, Neighborhood Restore, and our other partners in the public and private sectors, these rehabilitated homes will change the lives of those who own them, and help them build generational wealth.”

“It’s such a privilege to play a role in New Yorkers buying their first homes,” said NYCHA Chief Executive Officer Lisa Bova-Hiatt. “We’re so proud of what we’ve accomplished here, alongside our partners at HPD and Neighborhood Restore. Not only have we worked to breathe new life into this unique portfolio of homes, many of which were formerly NYCHA-owned, but we’ve provided a tremendous opportunity for low- to moderate-income families to buy their first homes in New York City – some of whom were NYCHA residents.”

“We are proud to be a key player in transforming these vacant and blighted properties into new affordable homes for low- and moderate-income New Yorkers. The rehabilitation of these homes has provided 61 families, including 13 former NYCHA households, the opportunity to achieve the dream of homeownership and has contributed to the stabilization of the surrounding neighborhoods,” said Neighborhood Restore HDFC Executive Director Salvatore D’Avola. “We congratulate the new homeowners and wish them years of health and happiness in their new homes. We thank NYCHA, HPD, the New York State Affordable Housing Corporation, and JPMorgan Chase for providing the necessary financing to convert these distressed properties into affordable community assets.”

“The housing supply shortage facing New Yorkers has particularly impacted first-time homebuyers looking to establish a foothold on the property ladder and made it critically important to increase supply by rehabilitating existing properties for the next generation,” said New York State Homes & Community Renewal Commissioner RuthAnne Visnauskas. “This transformative project by HPD and NYCHA, in partnership with HCR and private entities, has turned 19 outdated properties in Brooklyn, the Bronx, and Queens into affordable homes, including three now owned by first-time homebuyers who are former NYCHA residents. Thank you to our partners for their commitment to creating these life-changing opportunities in neighborhoods across New York City.”

“We are honored to support Restored Homes HDFC with the restoration and development of 19 homes for residents across the boroughs,” said Chase Community Banking Executive Director Jane E. Silverman. “Revitalizing these properties and providing families with access to homeownership is essential for the prosperity of our communities. These homes are not only enhancing the quality of life for current residents but also fostering a sense of pride and stability that will benefit future generations.”

The 19 houses included in this cluster of FHA homes consist of 15 formerly NYCHA-owned one-to-four-family homes, and houses provided through HPD’s Community Restoration Fund (CRF) Program. Neighborhood Restore HDFC’s rehabilitation efforts were done in accordance with Enterprise Green Communities’ standards criteria, which require each home meet building performance standards focused on sustainability, energy efficiency, and environmental health. As such, each home was designed with continuous insulation and received new heating and ventilation equipment, water-conserving fixtures, and Energy Star-rated appliances. Other highlights include new roofing systems designed to lower each home’s energy demands, and washer and dryer hookups.

The Authority’s Office of Resident Economic Empowerment & Sustainability (REES) conducted a robust marketing campaign to ensure that public housing residents were aware of the opportunity to buy their first homes. NYCHA coordinated with HPD and Restored Homes HDFC to hold information sessions that attracted hundreds of attendees and were designed to assist first-time homebuyers throughout the process. The topics covered included the lottery application process on HPD’s Housing Connect, knowing what lenders are looking for from borrowers, securing affordable mortgage rates, HPD’s Home First down-payment grant, and building a homebuying team. The Authority also partnered with HPD’s Housing Ambassador Program to help NYCHA residents complete the application process. In the late 1970s and early 1980s, the U.S. Department of Housing and Urban Development (HUD) transferred more than 700 FHA repossessed homes and buildings to NYCHA. The Authority utilized these properties as additional public housing, while working with tenants so they could become eventual homeowners of the properties. In the past 29 years, NYCHA has helped more than 400 residents become homeowners of FHA homes.